Federal Reserve Balance Sheet Update: Week Of October 14

Total Federal Reserve balance sheet assets for the week of October 14 of $2,128 billion ($9 billion higher compared to the prior week's $2,119 billion). Fed assets consisted of:

  • Securities held outright: $1,608 billion (an increase of $75.3 billion MoM, resulting from $13 billion in new Treasury purchases, $52 billion increase in MBS and $11 billion in Agency Debt), or $13 billion increase sequentially
  • Net borrowings: unchanged at $289 billion, as no update in the current week.
  • Float, liquidity swaps, Maiden Lane and other assets: $231.8 billion, a $4 billion decrease based on a $252 million reduction in CPFF and a $6.2 billion reduction in FX liquidity swaps, bringing these to a fresh 52 week low. At $43 billion in liquidity swaps, there is little room left for the Fed to force foreign CB to keep pressing on the dollar. Keep an eye out on this datapoint as it is probably one of the better leading indicators of when foreign CBs start covering their dollar shorts (and are in need of dollar funding by the Fed).

Foreign holdings increased by $4.1 billion to 2,865 billion.